Bank of England Expected to Hold Interest Rates at 3.75% as Inflation Remains Elevated 
Gold Prices Slide as Rate Cut Prospects Diminish; Copper Gains on China Stimulus Hopes 
Wall Street Analysts Weigh in on Latest NFP Data 
China Holds Loan Prime Rates Steady in January as Market Expectations Align 
Federal Reserve Faces Subpoena Delay Amid Investigation Into Chair Jerome Powell 
Oil Prices Dip Slightly Amid Focus on Russian Sanctions and U.S. Inflation Data 
BOJ Rate Decision in Focus as Yen Weakness and Inflation Shape Market Outlook 
Fed May Resume Rate Hikes: BofA Analysts Outline Key Scenarios 
Bank of Japan Signals Cautious Path Toward Further Rate Hikes Amid Yen Weakness 
China's Refining Industry Faces Major Shakeup Amid Challenges 
UBS Predicts Potential Fed Rate Cut Amid Strong US Economic Data 
ECB’s Cipollone Backs Digital Euro as Europe Pushes for Payment System Independence 
Bank of Canada Holds Interest Rate at 2.25% Amid Trade and Global Uncertainty 
Mexico's Undervalued Equity Market Offers Long-Term Investment Potential 
It is reckoned that CE4 FX is most likely to underperform the dollar-driven high betas in EMFX-bloc in the days to come.
NBP is set to announce a rate decision today: there is no prospect of change in monetary policy at this stage. As Governor Adam Glapinski regularly reminds us, the benchmark rate is likely to stay unchanged at 1.5% through end-2020, if not considerably longer.
This second outcome would be more likely if eurozone core-inflation remains soft (and below target). Polish CPI data did surprise strongly to the upside in April (accelerating from 1.7% to 2.2%), but this is being viewed to be the result of Easter package holiday pricing, just like elsewhere in the eurozone – this effect will fade soon.
Nevertheless, the chance of some inflation acceleration is increasing because the labor market is tight, and wage growth has, once more, accelerated to 7%-plus. Nevertheless, NBP is more likely to respond to this via the mild tightening of lending norms for the banking sector, than by actual rate hikes.
Higher real yields and solid basic balance position should see Zloty outperform CE3 peers. Inflation has recently surprised to the upside, which could support monetary policy expectations and in turn the currency. Together with our bearish view on HUF, we have recently revised our target for our long PLN/HUF upwards to 77.00 levels.
Finally, from a valuation perspective, Zloty remains undervalued in our BEER fair value model by around 8.0%.Courtesy: JPM & Commerzbank
Currency Strength Index: FxWirePro's hourly USD spot index is flashing at 120 levels (which is highly bullish) while articulating at (15:19 GMT).
For more details on the index, please refer below weblink: http://www.fxwirepro.com/currencyindex
